The Malawi Energy Regulatory Authority (MERA) has described the recent rise of fuel price as being in the best interest of poor Malawians.
The body which is responsible for determining fuel prices in the county says it has managed to protect Malawians from a huge hike.
Speaking to the local media, Public Relations Officer for the energy regulatory body Selina Khonje said that they have only raised the prices by 4 percent instead of the necessary 8 percent.
“The fuel prices were supposed to go up by 8 percent but have gone by 4 percent only,” she explained.
Khonje further claimed that the fuel prices were supposed to go up three months ago but the body decided to delay the hike. The new prices see petrol selling at K824.70 per litre from K788.30, Diesel going at K815.80 litre from K766.90 and Paraffin selling at K648.70 per litre from K609.80.
According to MERA, the hike follows its board’s resolution to pass on only 50 percent increases in the landed costs on the pump prices.
“Further the remaining 50% of In Bond Landed Cost (IBLC) increase be absorbed through the price stabilisation fund to cushion consumers from the impact of the increases in the landed cost of petroleum prices,” said MERA when announcing the hike.
This fuel increase means that the energy authority has increased the fuel prices twice in 30 days and three times since June this year.